Most aldermen back proposal to restore free water to nonprofits

A majority of Chicago aldermen have signed on to a proposal to once again provide free city water to many nonprofit organizations across the city.

The proposal, sponsored by Ald. Robert Fioretti, 2nd, and Ald. Howard Brookins, 21st, would restore free water service to nonprofits that have assets of less than $250 million and provide “charitable, moral, health, education, safety or similar social services to the community.”

If approved, the measure could blow a multimillion-dollar hole in the city’s budget. Mayor Rahm Emanuel has not yet had a chance to comment on the proposal, but has stressed in the past that nonprofits in other cities pay for water.

The aldermanic initiative comes as leaders of religious institutions that provide public programs are urging Emanuel to reconsider the steps he has taken to start charging nonprofits for water, albeit at a discounted rate.

Emanuel started to phase in water charges to nonprofits this year as part of his effort to grapple with chronic budget shortfalls. Starting next year, the nonprofits will be required to pay 60 percent of the going rate for water, under the current city ordinance. In 2014 and beyond, they will have to pay 80 percent of the going rate.

Addressing two dozen religious leaders at a recent annual retreat, Emanuel said he would take into account a recent letter to the city's 50 aldermen that described the water charges as a threat to social programs offered by religious institutions.

That letter, signed by 46 leaders including Cardinal Francis George, argued that the water fee is a shortsighted effort to generate revenue that could backfire in the long run.

City officials, meanwhile, point out that the city in many cases pays nonprofits for space or services. They also get free garbage pickup.